[printfriendly] <\/p>\n
Early signs suggest Canada’s housing market was as busy as ever. Home resales rose some 25% to 61% above year-ago levels in areas where local real estate boards have so far reported September results\u2014including increases of 56% in Vancouver, 51% in Ottawa and 42% in Toronto. The pandemic however is driving diverging trends among housing categories. Activity is universally stronger for single-detached and other low-rise homes than it is for condos. And the number of condos put up for sale is rising much faster than the number of low-rise homes. The pandemic is altering the housing needs of many current owners, which simultaneously shifts demand from condo apartments to single-detached homes and other low-rise categories, and boosts the supply of smaller condos in core urban areas. These trends have put single-family home prices on accelerating trajectories. Condo prices continue to rise modestly for now in most markets but this may not last. At the rate demand-supply conditions are softening, we see condo prices losing ground in the coming year in some of Canada’s core urban areas.<\/p>\n